 |
To assess such a risk, the Financial Stability Board FSB will now focus on the insurer's activity and not just on its size. This initiative has been welcomed by mega-insurers who can now expect regulatory relief.
The systemic label subjects companies to enhanced supervision in order to avoid possible bankruptcies that could threaten global monetary stability.
The current list of systemic insurers, also known as G-SIIs includes, to date, nine major groups including one Chinese (Ping An), five European (AXA, Allianz, Aviva, Prudential and Aegon) and three American (Prudential Financial, MetLife and AIG).
The latter two are still considered systemic insurers by the FSB although they are no longer considered so by the Financial Stability Oversight Council (FSOC), an institution attached to the US Treasury.